The coffee served at Peet's is quite simply my favorite, so my review may be slightly biased in that respect. It's dark, rich, complex coffee--definitely not for those who seek the mild blends that they offer at Starbucks. Also, there are always free samples available: teas, organic coffee, pastries, candies, etc.
The small size of this particular Peet's is made up for by the tables and benches located just outside. On a sunny day, you can sit at one of the shaded tables with a cup of coffee and a friend and enjoy watching all the ritzy Newport types saunter about. A lot of people like to bring their dogs here, so sometimes there's some exciting canine interaction. There is also a nice water fountain that, at certain times of the year, is inhabited by a beautiful mallard duck.
The only bad things I can think of are that it can definitely get crowded here, especially in the mornings; and since this Peet's is not that big to begin with, it becomes a madhouse once the line grows longer than 5 people. Also, the pastries are noticeably more expensive than other Peet's I've been to, but such price hikes are characteristic of Newport Beach.